UNITED STATES OF AMERICA

COUNTRY OVERVIEW

LOCATION AND SIZE.

The 48 states that make up the continental United States are located in
North America between Mexico and Canada. The state of Hawaii is located
in the Pacific Ocean, midway between North America and Asia, and the
state of Alaska is located on the extreme northwest corner of North
America. The United States also controls a number of small islands in
the Caribbean and the Pacific. The nation is the third-largest country
in the world in area behind Russia and Canada. It has a total area of
9,629,091 square kilometers (3,717,792 square miles). This total
includes the 50 states and the District of Columbia, but not the
nation's territories and dependencies. Of this territory,
9,158,960 square kilometers (3,536,274 square miles) are land, while
there are 470,131 square kilometers (181,517 square miles) of water. The
United States is about one-half the size of Russia, and slightly larger
than either Brazil or China. It shares long borders with both Canada
(8,893 kilometers or 5,526 miles) and Mexico (3,326 kilometers or 2,066
miles). The nation's total borders are 12,248 kilometers (7,610
miles) long. The Eastern United States borders the Atlantic Ocean and
the Caribbean Sea, while the West Coast borders the Pacific Ocean. Areas
of Alaska border the Arctic Ocean. In all, the country has 19,924
kilometers (12,380 miles) of coastline. The nation's capital is
Washington, D.C., which is located on the East Coast, almost midway
between Maine and Florida. The capital has a population of 519,000, but
America's largest cities are New York, with a population of
7,428,162, followed by Los Angeles with 3,633,591 people, and Chicago
with 2,799,050.

POPULATION.

The population of the United States was estimated to be 275,562,673 in
July 2000. Females slightly outnumbered males and there were 0.96 males
for every female in the population. This phenomenon is most pronounced
among the elderly and is partially the result of longer life spans for
women. In the United States, the life expectancy for males is 74.24
years, but 79.9 for females. The elderly are the fastest growing segment
of the population and thus have contributed to the
"greying" (aging) of the American population. In 2000,
those aged 65 and older accounted for 12.64 percent of the population.
Meanwhile, those Americans age 14 and younger accounted for 21.25
percent of the population. The most significant factor causing the
greying of the population is the aging of the baby-boomers (those people
born in the aftermath of World War II when there was rapid population
growth or a "boom" period of births). Over the next
decade, many of the baby-boomers will reach retirement age, creating new
pressures on the health-care and retirement systems. By 2030, the
elderly population in the United States will have doubled.

After periods of dramatic population growth early in the 20th century,
the American population is now growing at a slow rate of 0.91 percent
per year. By 2010, the population is expected to be 297,976,000. The
birth rate is 14.2 births per 1,000 people, and the mortality rate is
8.7 deaths per 1,000. The fertility rate is 2.06 children born per
woman. Fertility rates have thus stabilized at replacement levels (a
point at which there are just enough births to replace the
children's parents). Much of the increase in the population is
not the result of the birth rate, but rather because of
immigration
. There are about 3.5 new immigrants to the United States for every

1,000 people in the country. In 1998, there were 660,477 legal
immigrants admitted to the United States. In addition, there were an
estimated 500,000 to 1 million illegal immigrants.

The American population is one of the most diverse in the world and is
constantly changing because of immigration and differences in birth
rates. In 1970, non-white minority groups accounted for 16 percent of
the population, but by 1998 these groups accounted for 27 percent of the
population and estimates are that by 2050, minorities will account for
more than 50 percent of the population. Currently, whites make up 72.2
percent of the population. African Americans are the largest minority
group at 12.6 percent of the population, followed by Hispanics at 10.6
percent, Asians at 3.7 percent, and Native Americans at 0.8 percent.
However, between 2005 and 2010, Hispanics are expected to overtake
African Americans to become the largest minority group. The largest
ethnic group in the United States is the Germans
(42.9 percent), followed by the Irish (28.6 percent), Africans (12.6
percent), and the Italians (10.8 percent).

For most of its history the United States was a rural nation, but
through the 20th century there was increasing urbanization. In 2000, 76
percent of the American population lived in urban areas and 53 percent
lived in or near the nation's 20 largest cities. There are now 9
cities in the United States that have populations of more than 1 million
people. In order of size, they are New York, Los Angeles, Chicago,
Houston, Philadelphia, San Diego, Phoenix, San Antonio, and Dallas. In
addition, there are a number of cities, including Detroit and San Jose,
with populations near 1 million.

Despite the nation's size, the population density of the United
States is relatively low. There are 28.4 people per square kilometer
(73.5 people per square mile) in the United States. However, this
density is uneven. For instance, the population density of New York City
is 8,880 per square kilometer (23,000 per square mile). The state with
the highest population density is New Jersey (386 people per square
kilometer, or 1,000 per square mile). Alaska has the lowest density with
less than 1 person per square kilometer (at about 1 person per square
mile). The United States also has one of the most mobile populations in
the world. Although 84 percent of the population lives in the same
residence as they have for the past 5 years, the average American will
move 6 times during his or her lifetime.

MANUFACTURING AND CONSTRUCTION.

The strong economy of the 1990s produced record profits for many
American manufacturing firms. Sales of manufactured goods totaled $354.9
billion in 1999. One result of this has been increased investment in new
factories and equipment and in research and development of new products.
Profits in industry have also been aided by the increased productivity
of workers. New investment by industry increased by 9 percent since
1995.

In the manufacturing sector, durable goods (products that are designed
to last 5 years or more) accounted for 9.5 percent of the
nation's GDP while non-durable goods, such as food or clothing,
accounted for 6.9 percent of GDP. In 2000, the main durable goods were
electronic products, motor vehicles, industrial machinery, fabricated
metal products, lumber and wood products, and other transportation goods
(including airplanes and aerospace equipment). In 1999, there were 11.1
million people employed in the manufacture of durable goods. The main
non-durable goods sectors were food and foodstuffs, printing and
publishing, chemicals and pharmaceuticals, rubber and plastics, textiles
and clothing, and tobacco. In 1999, there were 7.44 million Americans
working in the non-durable goods production sector of the economy.

Because of increased production, many American workers in the
manufacturing sector worked more than 40 hours a week in order to keep
up with demand. In 1999, the average manufacturing employee worked 4.6
hours of overtime per week. Average earnings in the manufacturing sector
were $13.24 per hour. This marked a 3.3 percent increase in earnings
from the previous year. American manufacturing companies were operating
at about 82 percent of total capacity in 1999. In comparison, throughout
the 1980s and early 1990s these companies were operating at an average
of only 76 percent of capacity. The greatest gains in productivity in
the manufacturing sector were in electronics, industrial machinery, and
automobile production.

In 1999, 6.4 million Americans worked in the construction industry. The
total value of new construction that same year was $764 billion. This
included $172.1 billion worth of construction by local, state, and
national governments. There were 1.66 million new houses built and
299,700 business structures completed.

ENERGY AND MINING.

The United States produces 74 percent of its energy needs. The nation
has significant reserves of coal, natural gas, and hydroelectric power.
The United States has the sixth-largest reserves of natural gas and is
one of the world's largest producers of gas. The United States is
also the third-largest exporter of coal. The nation has the
twelfth-largest reserves of oil, but it is one of the world's
largest importers of oil. About 57 percent of the oil consumed in the
United States is imported. The majority of the nation's oil
production is concentrated in Alaska, Texas, Louisiana, and California.
Although profits for U.S. energy companies have doubled since 1990, many
companies have shifted their efforts to develop new oil fields overseas.
The 15 largest U.S. energy companies now have operations in such diverse
places as Asia, Africa, and South America. There has been increased
consolidation in the energy field. In 1999, Exxon and Mobil merged to
form the largest private energy company in the world, worth $81 billion.
This was followed in 2000 by a merger announcement between Chevron and
Texaco. Rising oil prices in the United States contributed to the
economic slowdown that began in 2000.

Non-fuel mineral production in the United States in 1997 amounted to
$39.6 billion. The major minerals included zinc, lead, gold, iron ore,
phosphates, and platinum. Eleven states accounted for 56 percent of
total production. There were also $26.7 billion worth of mineral
commodities produced. The main commodities were crushed stone, cement,
copper, sand, lime and clays. Many of these products were used in the
construction industry. In 1999, mining employed about 535,000 people.

INFORMATION TECHNOLOGY.

One of the fastest growing areas of the U.S. economy is IT. This
includes the development of computer software and computer applications
for business and government, as well as new methods of communication.
The IT sector also covers systems that integrate new technologies. For
instance, IT includes systems that link Internet access and mobile
phones. Although IT accounts for only a small part of the U.S. GDP (8.3
percent in 2000), it is responsible for one-third of new output. In
addition, spending on IT software and services accounted for 11 percent
of the 14 percent increase in business spending on
procurement
in 2000. IT was also responsible for a 30 percent growth in personal
income. Most of the technology involved in this sector of the economy
was invented before 1990, including the personal computer, fax machine,
cellular phone and Internet. It has only been since 1995 that systems
have been developed that integrate these new technologies.

RETAIL.

Retail and wholesale trade has posted substantial growth since 1993. By
2000, retail and wholesale trade employed 25 percent of all workers in
the
private sector
and accounted for 19.3 percent of all businesses. Strong sales in these
sectors have been bolstered by increases in productivity. Average worker
productivity has increased by about 5 percent per year since 1995. Wages
in the retail sector are far lower than the national average. In 1999,
the average wage for retail workers was $9.08 per hour, while the
national average wage was $13.24 per hour. In addition, retail workers
usually work less than 40 hours per week (on average just 29 hours) and
often do not have benefits such as health insurance and retirement.

Increases in sales and productivity have meant dramatic profits for many
retailers. However, many companies have not been able to compete with
the mega-retail firms such as Wal-Mart, K-Mart, and Target. By 2001,
many of the country's oldest and most respected
firms—including Montgomery Ward and Bradlees— were
bankrupt. Wal-Mart is the nation's number-one retail store, and
in 2000, it came in second place only to General Electric in overall
sales among all American companies (including such firms as Ford,
Microsoft, and Exxon Mobil). The number-two retail firm was Home Depot.
Along with this trend has been the slow demise of the mom-and-pop stores
(small, independent, often family-owned businesses that are usually
involved in retail ventures such as service stations and neighborhood
grocery stores). One of the fastest growing segments of the retail
sector is
e-commerce
(business that is conducted through the Internet). The United States
currently leads the world in e-commerce. In 2000, e-commerce was worth
$35 billion in the United States as 11 million consumers purchased
products via the Internet. However, initial estimates of wild growth in
the sector have not come true and many online companies have struggled
to become profitable. Official government estimates were that e-commerce
would be worth $800 billion by 2005, but new estimates place that figure
at only $230 billion.

DEPENDENCIES

GUAM.

As part of the Treaty of Paris, which ended the Spanish-America War in
1898, Guam became part of the United States. The island is currently a
dependency of the nation, but many on Guam seek commonwealth status,
like Puerto Rico, which would give the territory increased autonomy and
control over its government and economy. The territory has an elected
governor and assembly and sends 1 non-voting representative to the U.S.
House of Representatives.

Guam is located in the Pacific Ocean and has an area of 541 square
kilometers (211 square miles). Its population is 150,000. The
territory's GDP is $4.6 billion and its
GDP per capita
is $24,000. Guam uses the American dollar as its currency. There is a
substantial U.S. military presence in Guam, with 23,000 troops and their
dependents. The main products and industries of Guam's economy
include petroleum products, tourism, retail sales, construction
materials, and fish. Its main trading partners are the United States and
Japan.

In 1997, Guam had a total of 2,707 businesses, which ranged from
construction companies to retail stores and included hotels and a
variety of service companies. Total employment on Guam in 1997 was
42,477 (this does not include the military and those engaged in
subsistence farming
and fishing). Tourism plays a strong part in the territory's
economy and hotels and motels had $460 million in revenues in 1997,
while tourist shops and souvenir businesses had $415.9 million in sales.
Total sales for the retail sector were $1.8 billion. Total employees
numbered 15,334. Two factors have helped maintain the growth of the
retail industry. The first is sales to military families. The second is
sales to foreign tourists. Guam allows tourists to buy goods without
paying a sales tax. Since U.S. products are cheaper on Guam than in
Japan, this tax-break further lowers the cost and has made the island a
popular stop for Japanese tourists to shop. The island is also home to
the world's largest K-Mart store.

Behind retail and tourism, all other service industries including,
legal, medical, maintenance and transportation services had combined
total revenues of $1.18 billion and employed 15,336 people.
Manufacturing and construction made up only a small part of the economy.
In 1997, manufacturing employed 1,320 people and had revenues of $164
million. Construction employed 7,094 people and had revenues of $505
million.

During the 1990s, the economy of Guam expanded significantly. Although
construction was down by 29 percent during the decade, most other
segments of the economy have posted impressive gains. Retail sales were
up by 65 percent while wholesale revenues have increased by 120 percent.
Service revenues have increased by 81 percent and manufacturing by 49
percent. This growth has led to a higher
inflation rate
than the American average, 4 percent compared with 1.7 percent. The
economy will likely continue to grow in the near future. The
island's dependency on food imports and tourism makes it
vulnerable to price increases and economic slowdowns by its major trade
partners.

THE VIRGIN ISLANDS.

The territory of the U.S. Virgin Islands consists of 3 islands and small
cays (low island or reef) in the Caribbean. The 3 main islands are St.
Croix, St. Thomas, and St. John. Combined, these islands have a total
area of 350 square kilometers (135 square miles). The total population
of the territory is 125,000. The majority of the population lives on St.
Croix and St. Thomas (only about 4,500 people live on St. John).

In 1997, the GDP of the Virgin Islands was $2.3 billion and its per
capita GDP was $17,000. The economy of the Virgin Islands employs about
41,800 people. There are a further number of seasonal jobs that are
dependent on tourism, and a percentage of the population works outside
of regular businesses in subsistence farming and fishing. The dominant
industry is tourism. There is also a significant retail sector in the
islands and some minor oil refining. The territory's main trade
partners are the United States and Puerto Rico. The majority of the
citizens of the islands are of African descent (75 percent), but there
is also a significant community of whites who moved to the islands from
the United States (13 percent) as well as Puerto Ricans (5 percent).

Because of their strategic importance as naval ports, the United States
purchased what is now the U.S. Virgin Islands from Denmark at the
outbreak of World War I in 1914 for $25 million. The islands were
granted home rule in 1970 and remain unincorporated American
territories.

Tourism dominates the economy of the Virgin Islands. Not only does it
provide income for people who directly work in tourist-related
activities, but it also drives the retail and service sectors of the
economy. The islands are serviced by most major American airlines and
many of the world's major cruise lines. About 2 million tourists
visit the islands each year. Services, including tourism and retail
sales, produced $1.8 billion in revenues in 1997. This represented a 20
percent increase since 1990. Retailers and wholesalers employed about
9,000 people, while other services—including lodging,
transportation and personal services—employed 10,600 people.

Industry, mainly oil production and construction, employed 3,500 workers
and had a total output of $200 million. A small number of financial
institutions have established themselves on the islands. Financial
services, including banking, insurance and real estate, employ about
1,900 people.

The economy of the Virgin Islands was stable throughout the 1990s, but
the tourist industry experienced a period of slow—and in some
years, negative—growth. Crime and high costs prompted many
tourists to go elsewhere in the Caribbean. As a result, several major
airlines cut service to the territory. A reform program that cut the
number of government workers from 12,000 to 10,200 employees caused a
slight increase in unemployment. These factors will continue to
constrain the economy and limit the potential for future growth.

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Where is the information about Puerto Rico? And one of the largest U.S. cities, San Juan? I am a mainlander living in Puerto Rico for a few years. I am shocked at how little most OTHER U.S. citizens know about this important commonwealth of the U.S. Check it out.

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